The following information can be found in Manufacturer Company's financial statement The firm uses LIFO 2005 $2.000,000 $140.000 $100,000 $400,000 2006 2,500,000 $180,000 $125,000 $500,000 COGS Inventory Net Income Retained Earnings LIFO Reserve Tax Rate $30,000 40% $40,000 4000 23. If Manufacturer used FIFO its retained earnings as of the end of fiscal 2006 would be: A. $540,000 B. $440,000 C. $524,000 D. $506,000 24. If Manufacturer used FIFO in both years the amount by which 2006 net income changes A. $ 165,000 B. $149,000 C. $ 135,000 D. $ 6,000